Silver Supply Risks Highlighted as Black Bear Targets Shafter Expansion

Drilling Commences at Shafter Silver Project

Black Bear Minerals (ASX, BKB) has commenced its maiden drilling program at the 100%-owned Shafter Silver Project in Presidio County, Texas. The initial phase involves 11 diamond drill holes totaling approximately 2,250 metres, designed to test extensions of mineralisation beyond the existing 17.6 million ounce Foreign Mineral Resource Estimate. This drilling marks a pivotal step in delineating the geological structures and stratigraphy that control mineralisation, setting the stage for a comprehensive exploration campaign throughout 2026.

Exploring Beyond the Known Resource

The Shafter Project sits within a prolific carbonate basin extending from northern Mexico into southwest Texas, part of the Eastern Sierra Madre Belt known for significant silver deposits. Historical mining at the Presidio Mine produced over 35 million ounces of silver at high grades, but large portions of the mineralised system remain underexplored. Black Bear’s drilling targets key structural corridors such as the MacDaniel and Mina Grande Faults, which are believed to be major conduits for mineralising fluids. Notably, the southwest extension of the project has seen limited prior drilling, despite promising high-grade intercepts recorded in historic holes.

Unlocking Multi-Commodity Potential

While Shafter has traditionally been evaluated primarily for silver, recent surface sampling by Black Bear has revealed polymetallic mineralisation including gold, lead, zinc, and vanadium. The Phase 1 drilling program will submit all samples for comprehensive multi-element and gold analysis, aiming to unlock additional value beyond silver alone. This approach reflects a broader industry trend recognizing the strategic importance of diverse critical minerals, especially as silver’s role expands beyond precious metal status into critical industrial applications.

Strategic Importance Amid Supply Challenges

Silver’s designation as a critical mineral by the United States highlights the strategic imperative to develop domestic sources amid growing global demand and constrained supply. The US is heavily reliant on imports, and supply deficits are expected to persist due to flat mine production and limited recycling capacity. Black Bear’s Shafter Project, therefore, holds significant potential to contribute to domestic supply security, aligning with national priorities and potentially benefiting from supportive policy frameworks.

Well-Funded for Aggressive Exploration

Backing this ambitious exploration is a recent A$30 million capital raising, ensuring Black Bear is well-positioned to execute an aggressive drilling and exploration program. Following Phase 1, the company plans to ramp up activity in early 2026 with two diamond rigs targeting multiple priority zones, including the Presidio Mine area and structural extensions to the north and south. The results of this initial drilling will be critical in refining the resource model and guiding subsequent phases of exploration.

Broader Portfolio and Outlook

Beyond Shafter, Black Bear holds significant assets including the Independence Gold Project in Nevada, a jurisdiction renowned for its mining-friendly environment, and a large lithium exploration portfolio in Quebec’s James Bay region. These diversified holdings position the company to capitalize on multiple commodity cycles. However, the immediate focus remains on unlocking Shafter’s resource expansion and multi-commodity potential, which could reshape the project’s valuation and strategic profile.